Price Targets (BWA) (CAVM) (EMN) (EVR) (IMGN) Updated

BorgWarner Inc (NYSE: BWA), Cavium Networks, Inc. (NASDAQ: CAVM), Eastman Chemical Co (NYSE: EMN), Evercore Partners Inc. (NYSE: EVR) and ImmunoGen, Inc. (NASDAQ: IMGN) had their price targets updated by analysts.

Deutsche Bank (NYSE:DB) raised their price target on BorgWarner Inc (BWA) from $75.00 to $78.00. They have a “hold” rating on the company.

Barclays Capital (NYSE:BCS) raised their price target on Cavium Networks, Inc. (CAVM) from $44.00 to $50.00. They have an “overweight” rating on the company.

Deutsche Bank raised their price target on Eastman Chemical Co (EMN) from $110.00 to $125.00. They have a “buy” rating on the company.

Barclays Capital raised their price target on Evercore Partners Inc. (EVR) from $36.00 to $38.00. They have an “equal weight” rating on the company.

Brean Murray raised their price target on ImmunoGen, Inc. (IMGN) from $11.00 to $14.00. They have a “buy” rating on the company.

Immunogen's (NASDAQ:IMGN) Expectations Too High, as is Valuation

Immunogen's (NASDAQ:IMGN) valuation is too high, according to Needham, which is the result of expectations concerning late-stage T-DM1.

Needham says, "We believe the current valuation is built on high expectations for the late-stage T-DM1 along with the brand-name Roche (OTC:RHHBY) (N/R) partnership, but the value creation for ImmunoGen is modest, due to the mid-single digit royalty. Despite the best efforts of the management team, the remainder of the pipeline remains in a early stage and/or in the hands of the outside partners. We see few value-creating events in 2011 to support the current ~$470MM technology value. Accelerated progress in the earlystage internal pipeline or sizeable collaborations around the unpartnered pipeline products may provide an upside to our current valuation."

Needham & Company reiterates an "Underperform" rating on Immunogen Inc. (IMGN), which was trading at $8.17, down $0.62, or 6.95 percent, as of 2:33 PM EST.

Immunogen (NASDAQ:IMGN) Hampered by Low Royalty Structure

Immunogen's (NASDAQ:IMGN) low royalties will continue to hinder the company in spite of some of the postive expectations surrounding late-stage T-DM1.

Needham noted, "We maintain our UnderPerform rating for ImmunoGen, as we believe the current valuation is built on high expectations for the late-stage T-DM1 along with the brand-name Roche (N/R) partnership, but the value creation for ImmunoGen is modest, due to the mid-single digit royalty. Accelerated progress in the early-stage internal pipeline or sizeable collaborations around the unpartnered pipeline products may provide upside to our current valuation."

Needham & Company reiterates an "Underperform" on Immunogen Inc., which closed at $9.63, gaining $0.18, or 1.90 percent.

A Look at AVEO (Nasdaq:AVEO), ZIOPHARM (NASDAQ:ZIOP), Exelixis (Nasdaq:EXEL), Allos (NASDAQ:ALTH), Synta (NASDAQ:SNTA) and Immunogen (Nasdaq:IMGN)

AVEO Pharmaceuticals (Nasdaq:AVEO), ZIOPHARM Oncology (NASDAQ:ZIOP), Exelixis (Nasdaq:EXEL), Allos Therapeutics(NASDAQ:ALTH), Synta Pharmaceuticals (NASDAQ:SNTA) and Immunogen (Nasdaq:IMGN) were commented on by Canaccord Genuity, as they took a look at the Biotech small cap sector.

Canaccord's take on the companies:

"AVEO Pharmaceuticals (BUY) Investment recommendation: We maintain our BUY rating going into top-line results from the Phase III TIVO-1 trial evaluating tivozanib for treatment of renal cell carcinoma."

"ZIOPHARM Oncology (BUY) Investment recommendation: On the potential of a diversified clinical oncology pipeline, we remain long-term buyers of ZIOP shares.

"Synta Pharmaceuticals (HOLD) Investment recommendation: We maintain our HOLD rating based on lack of meaningful clinical data supporting the potential of STA-9090 for treatment of oncologic indications.

"Immunogen (Buy-rated) Investment recommendation: Although approaching our DCF-based $10 price target, we continue to remain positively inclined on IMGN shares given perceived potential of Roche’s trastuzumab-DM1 (T-DM1) in metastatic breast cancer (MBC).

"Exelixis (HOLD-rated) Investment recommendation: On our view that share value more than fully reflects the risk/reward for potential of XL184 in metastatic prostate cancer, we maintain our HOLD rating.

"Allos Therapeutics (HOLD) Investment recommendation: We maintain our HOLD rating on ALTH given our view that shares adequately reflect potential of Folotyn in the peripheral T cell lymphoma (PTCL) treatment market.

Aveo closed Tuesday at $14.61, down $0.06, or 0.41 percent. Ziopharm closed at $4.71, down $0.12, or 2.48 percent. Exelixis closed up at $8.85, gaining $0.07, or 0.80 percent. Allos closed at $4.62, up $0.01, or 0.22 percent. Synta closed at $6.37, up $0.04, or 0.63 percent. Immunogen ended the session at $9.70, down $0.02, or 0.21 percent.